Todays column focuses on two time-critical updates on recent columns. The first is for younger families who are seeking financial aid for college through the FAFSA form. The second is for seniors who want to re-think their Medicare Advantage programs. Time is running out for both!

FAFSA

Millions of students and their parents are still caught up in the FAFSA debacle over applications for financial aid. In an effort to “simplify “ this required filing using a new formula and online format, the Department of Education has created an incredible logjam that threatens the entire college acceptance process this Spring.

First, the new program got off to a much-delayed start, opening in January instead of this past September. As a result, as of February 1st, only 4 million of the 18 million applications expected to be submitted had been completed.

Since colleges determine aid packages based on FAFSA (even for many non-federal grants) the government delay has stalled the entire process, which is traditionally completed by March 1st. That’s impossible now. And it means that student decisions on attendance, which are due by May 1st, will also be impacted.

Latest word from the Department of Education is they won’t even START sending accepted FAFSA forms to the colleges until at least March 1st! That is a delay from the traditional end of January delivery to schools.

At a high level series of meetings in Washington, DC last week, the Education Department committed $50 million to helping colleges staff up to deal with the situation. But until all FAFSA forms are processed, late filers will be at a significant disadvantage.

There’s talk of extending the admissions decision deadline to June 1st, as was done during the pandemic. Even if that happens, schools will be scrambling to complete their acceptance offers and aid packages.

If you’re a parent of a high school senior (or a returning student applying for aid for 2024-2025, here’s some advice for Jack Wallace, director of government relations at www.YREFY.com, who attended those high level meetings with Congressional staffers in Washington last week: “Parents and students need to be persistent in filing and following up with their FAFSA forms.”

Wallace says families should be on the lookout for an email from the Education department, a Notice of Filing, confirming that their application has been processed. And by the end of March, families might want to contact the college financial aid office just to confirm their FAFSA has been received. Yes, those anxious families will create even more work for beleaguered student aid offices!

The season of college acceptance, financial aid offers, and affordability decisions is always nerve-wracking for students and parents. This year promises to be exceptionally painful.

MEDICARE ADVANTAGE

Here’s a reminder that seniors with Medicare Advantage plans have until March 31st to switch back to original Medicare and a supplement. Please check my recent columns on the disadvantages of Medicare Advantage at www.terrysavage.com. As many of these plans have lost money in recent years, they have cut back on patient care, delayed authorizing physician-recommended medical tests, and caused physicians to rethink participating in these plans.

Now comes a new report from BeckersHospitalReview.com, with this troubling headline: “Hospitals are Dropping Medicare Advantage Plans Left and Right”. The report finds that “ a growing number of hospitals and health systems nationwide are pushing back and dropping some or all contracts with the private plans altogether.”

Across the country, hospitals and physicians are getting fed up with the time and expense of getting authorizations for patient care. The issue of insurance delays and denials is so prevalent that it has even become a theme on this season’s Chicago Med television series. Major hospitals in California, Tennessee, northern Indiana, Oregon, Georgia, Pennsylvania and several other states have said they will no longer participate in Advantage plans.

And those drop-out decisions leave Advantage plan participants with few choices for care!

You have until March 31st to switch out of your Advantage plan and go back to traditional Medicare and a supplement. If you already have medical issues, you may no longer qualify for the most comprehensive supplement, Plan G. But ANY Medicare supplement, while costing and covering less, will give you the priceless benefit of choice of physicians and hospitals that accept traditional Medicare. And almost all do.

In the case of both FAFSA and Advantage plans, time is money! And that’s The Savage Truth.